BARBERTON MINES RETIREMENT POLICY
- Normal retirement age for all employees – 63 years
- The last day at work will be at the end of the calendar month in which the member attains the normal retirement age
- The companies official retirement age is 63 years for all it’s employees
- All employees will be permitted to work until 63 years of age provided there is no significant risk for the employee within his/her role.
- Age has direct consequences in terms of competence and ability. Some job categories may well be having significant risk exposure.
ENGAGEMENT OR RE-ENGAGEMENT OF PENSIONERS OR PERSONS ABOVE RETIREMENT AGE
- It is not group policy to engage or re-engage persons above the normal retirement age
- Only in exceptional circumstances with prior approval of the General Manager may persons above the normal retirement age be engaged or re-engaged
- The risk profile of a particular job will guide the General Manager in decision making
PENSION FUND
- Currently one of the largest self administered funds in South Africa
- Registered in terms of the Pension Funds Act No 24 of 1956, Income Tax Act No 58 of 1962
- Normal retirement age – 62 years and 6 months
- The last day at work will be at the end of the calendar month in which the member attains the normal retirement age
- Membership is compulsory
- On retirement, member gets one third of the total benefit in a cash lump sum
- Other two thirds is paid in the form of a pension over the rest of the members life
- Pension is paid into members bank account monthly
Offers better tax benefits to the member-
- Monthly contributions are tax deductible
- First R 300 000 of lump sum is not taxable
- Receipt of private pension disqualifies you from obtaining state old age pension grants
Benefits-
- Withdrawal
- Retrenchment
- Retirement
- Insured (disability or death)
PROVIDENT FUND
- Normal retirement age: (60 years for underground workers; 63 years for surface workers)
- The last day at work will be at the end of the calendar month in which the member attains the normal retirement age.
- Membership is compulsory
- Member gets full benefit paid in cash lump sum
- Option offers more flexibility through options
- Investment option. Buy a private pension for life through private pension company
- Less than R 30 000 of any total lump sum is not taxable
- You qualify for state old age pension to the value of R 1420 per month
Benefits
- Withdrawal (dismissal and/or resignation)
- Retrenchment (member and company contributions with interest)
- Retirement (as per age rules)
- Insured (disability to member, death to designated relative)